8 Best Easy Business Loans for 2022
If you’re considering applying for an easy business loan, it’s important to weigh the pros and cons. For starters, you shouldn’t take out a loan for more money than you really need. There are many other options available, including traditional lenders. However, when you’re in need of a smaller amount, an easy business loan may be a better option.
Here is 8 Best Easy Startup Business Loans for 2022
Best overall easy business loan for the Startup
- Fundbox has been in business since 2013 and has extended more than 300,000 loans to small businesses.
- Fundbox offers a simple application process and clear pricing, making it an excellent choice for small business owners who don’t meet strict qualification requirements.
- Moreover, it doesn’t charge prepayment penalties for early repayment and has flexible repayment terms.
- The application process is quick, and borrowers are guaranteed a credit decision within one business day.
- Fundbox is a perfect option for businesses that require regular access to working capital. It typically offers a pre-determined amount of funds, and you can draw on it whenever you need it.
- The funds you borrow can be used to cover payroll, rent, or supplies.
- The funds will gradually diminish as you pay off business expenses. Then, when you make the repayments, the credit line will increase back to its original amount.
- Fundbox offers both line of credit and business loans and has the same approval process as other banks.
- Fundbox also offers no pre-payment penalties. However, it does require you to have a business bank account with two or three months of transactions.
2. National Funding – Best for lower credit score
National Funding has more than 4.5 billion dollars in small businesses loans. The company can provide you with the money you need within a day. However, you should be aware that you will be putting your personal property at risk.
This means that you should thoroughly read your loan contract to make sure that you understand any personal guarantees you will need to sign. In addition, National Funding may not be completely transparent about the terms and conditions of your loan, especially during the pre-qualification process.
National Funding is a great option for small businesses with fair or low credit scores. Its easy application process, minimal paperwork requirements, and fast processing time makes it a popular choice for small business owners. However, it is important to keep in mind that the interest rates and fees associated with this type of business loan are often high, and you may end up in more debt than you can afford.
If you are looking for a business loan with no down payment, National Funding may be the best option. National Funding works with borrowers with lower credit scores and is known for their quick decision and fast funding timeline. In addition to its flexible loan terms, National Funding also offers early payoff discounts. If you can pay off the remaining balance in the first 100 days of the loan, you’ll save 7% on the interest rate on the remaining balance.
3. Bluevine – Best business line of credit
There are several factors that determine whether a business will qualify for a line of credit. These factors include the business’s history, transaction volume, social media presence, and its creditworthiness. The application process is simple and fast, and there are several ways to apply.
Bluevine offers free checking with unlimited transactions, and it pays the highest interest rates on balances up to $100,000. This free checking account also allows you to avoid the trouble of maintaining separate checking accounts for your business. The bank also offers paper checks, accepts cash deposits, and allows for invoicing within the banking platform. Bluevine also offers a line of credit.
Customers can access their account information through the internet, the Bluevine app, or an ATM. They can also pay back their line of credit through recurring online payments or autopsy. These features make Bluevine the best business line of credit for 2022.
4. Lendio – Best for shopping multiple loan options at one time
Lendio is one of the best places to start when you want to shop for multiple loan options for your business. This online platform allows you to find the best loan for your business needs by answering a short application. These applications take about 15 minutes to complete, and the website will then match you with lenders. You will be notified of the results within 72 hours.
This free tool will help you compare various loan offers from various lenders and will connect you with the best one. Once approved, Lendio will place you in touch with the lender to finalize the loan. It also gives you access to a personal funding manager. This manager is similar to a loan officer but works for a different lender. After you apply for a loan, your funding manager will contact you to discuss the terms of the financing and make recommendations.
Lendio’s minimum requirements vary depending on the type of loan you want. To apply for an equipment financing loan, you need to have been in business for at least six months. Other financing types are available too. A higher credit score increases your chances of getting approved for the best business loan for your needs.
5. FundThrough – Best for invoice factoring
FundThrough specializes in invoice factoring for the trucking industry, and its services are very transparent. They look at your credit score, customer creditworthiness, and length of unpaid invoices before they decide on a factoring rate. They offer rates of 0.5% per week or 2.5% per month, depending on the volume of invoices you have.
FundThrough processes your application and evaluates it within 24 hours. They integrate with major invoicing platforms, so you can receive funds quickly. Your company can factor up to 80% of invoices, and you can get up to 95% of the total amount within 24 hours. They also have a low transaction fee (averagely less than 0.5%).
Using an invoice factoring company can help your company grow by helping you keep up with payments and cash flows. It can also help your small business to maintain a healthy cash turnover rate and positive credit score. FundThrough helped MapleX, an up and coming brand in the Personal Care industry, avoid a cash flow bottleneck by factoring late-paying invoices with the company. It helped them avoid future expenses while maintaining their strong customer relationships.
6. Kabbage – Best for businesses with lower annual revenue
For businesses looking for a short-term business line of credit, Kabbage may be an excellent option. This online provider has a low annual re-payment, requires only one year in business, and does not report to personal or business credit bureaus. Moreover, Kabbage allows daily withdrawals. It also accepts American Express login credentials.
Another notable feature of this business-loan provider is its fixed monthly fee, which is very affordable. The repayment term is up to 18 months, which is significantly shorter than other leading lenders. Kabbage also requires a minimum withdrawal amount of $500. The company allows multiple loans within the same credit line, but the second and third loan will increase the monthly payment.
While Kabbage has low annual re-payment and no minimum score, it has a high interest rate. For this reason, it is a good choice for businesses with less than stellar credit. The process for applying for the loan is quick and easy.
7. OnDeck – Best for borrowers looking to pay loans off early
OnDeck is an online lender that offers a line of credit and loans with flexible repayment terms. The company requires applicants to submit information about themselves and their business. It may also ask for a business tax ID number and three months’ bank statements. Unlike traditional lenders, OnDeck does not report to your personal credit bureaus. This means that if you default on your loan, it will only have a negative effect on your business credit. In addition, if you default on your loan, you may not be able to refinance your debt. Furthermore, if you default on your loan, OnDeck can file a UCC-1 blanket lien on your business, which means that it can seize your personal and business assets.
OnDeck has a streamlined application process. You’ll need to provide basic information about yourself, such as your personal credit score and business revenue, as well as last three months of bank statements. If you’re approved, OnDeck will perform a soft credit pull – which won’t affect your credit score – and provide you with a decision within one business day.
8. LoanBuilder – Best for financing with flexible terms
LoanBuilder is a short-term lender that offers a number of loan options for small businesses. However, they do not provide loans to businesses with active judgments, liens, or bankruptcy filings. Their business loans are aimed at many different industries, including high-risk businesses such as hospitality.
LoanBuilder aims to foster long-term relationships with its merchants, so the company offers the option of renewal of a loan at the end of a term. To qualify for renewal, a merchant must maintain a consistent payment schedule and provide accurate financial information. Applicants with good financial standing and a track record of reliable revenue are likely to be approved for a loan renewal. Renewing a loan with LoanBuilder is subject to the review of financial records and merchant history.
A typical loan term with LoanBuilder is up to 52 weeks. These terms are flexible and can be arranged as weekly or monthly installments. Interest rates are variable and depend on the creditworthiness of the applicant. The monthly payment amount is deducted from the business’ bank account automatically each week.